Browsing Tag

sunk costs

Lessons Learned: Quit early, quit often

Seth nails the sunk costs considerations in technology when evaluating how to go forward or not:

One of the most important lessons they teach in business school is to ‘ignore sunk costs’. It doesn’t matter how much time or money or effort you’ve invested in something, if that project no longer makes economic sense, you should stop.

Another benefit of quiting early? You can avoid brand erosion and profit drag by quiting quickly. Sunk costs should also not influence pricing if you make it through the toll gates. Read the whole thing here, gets a little dippy and I’m not sure what “winged”.